Global Hunter Securities reduced its rating on Dril-Quip (NYSE: DRQ) from Accumulate to Neutral with a price target that was maintained at $79 a share.

Global Hunter Securities noted, "We are reducing our rating to Neutral from Accumulate as the stock is within 5% of our $79 price target, which ascribes a rich 20.5x multiple on 2013E EPS. With the stock trading near 1.5 standard deviations of its historical median and no material contract awards anticipated until later in the year, at the earliest, we think upside potential in the stock is modest at current levels and would thus rotate into other capital equipment stocks, particularly NOV."